Instagram : Thank you, and we’re listening - Really?

Since Instagram posted updates in their terms of use to include content usage for Sponsored Stories, they had to face large numbers of account withdrawal.
The basic statement that causes these reactions was :
"To help us deliver interesting paid or sponsored content or promotions, you agree that a business or other entity may pay us to display your user name, likeness, photos (along with any associated metadata), and/or actions you take, in connection with paid or sponsored content or promotions, without any compensation to you."

The point is, whatever Instagram published afterward (read Instagram blog post "Thank you, and we’re listening"), it does not change the fact that users who will accept those terms without change will allow Instagram to make use of any content for paid sponsoring services (without restriction).
It will probably possible to complain against Instagram arguing the blog post they wrote, but I'll not bet you win if you accepted the terms & condition "as-is" ...

BTW: Instagram planned (they say) to just show your profile pic and material to those who want to know who's following a particular brand if the brand pay for that.
Fine! This is what Twitter is doing ... for free. So, what's the point? What's hidden? Shall we believe words or wait for suitable T&C?


Opened by Antoine Fournier, Head of ECM, Input and Output management, Zurich Insurance
Dec 19, 2012.

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Shane Granger Analyst
Dec 19, 2012

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If you love Instagram, you should pay for some of its costs (shouldn't you?). No, its online and like many people over the past two decades when IP (and the costs thereof) are digital you have been exposed to the concept of not paying...
Here's another concept. I'm discussing a subject via Xperlink for free. Last year I was doing the same thing via an online resource called Focus.com (which is now?, few know cause it went offline in a day). Basically they went offline cause they weren't making a buck, thus the profit motivation was negligible...I blog, write, tweet and very, very occassionally FB update (for familiar purposes only) cause it is a passion/interest/de-boredom activity for me. It costs me nothing. To run those sites costs that company +$1 or more dependent on their underlying P&L costs (actually it costs a shit loads, just ask Antoine). You don't invest significant money for naught (just ask LinkedIn now, prior to their $4Bn+ buyin/buyout).
I'm very bearish bout 2013 and peeps want their money. Instagram are just asking for a reward for their investment. I don't utilise instagram, thou I've tried it. I don't see any reason to play with them if they want to sell my data (especially for photo's... gawd seriously).
It's your choice though but I'd be going short on Instagram if they want to sell photo's of myself.
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Antoine Fournier Head of ECM, Input and Output management, Zurich Insurance
Dec 20, 2012

Hi Shane, you're fully right.
A suitable business model is hardly obvious when customers consider what you provide should be free...
Anyway, setting a business on the web would be very easy (remember IP bubble in 2000) if all online services should be payable.
Today, doing social business would be also very easy if one do not have to care about privacy and trust. This is probably why we are facing another bubble .. the social one.
Entrepreneur willing to go social should really think about a suitable, sustainable business model beforehand : going to the web with a free service and get people in on an offer and changing the offer when time of profit is coming is to me just a mistake (or a trap).

Building a community of customer from free services is fine (freemium/premium model).
Building a community of people to advertise them is also fine but privacy is to be considered with transparency and respect.
Building a community of people to sell their info to organization is just wrong - it's a new business we should consider : People-as-a-product (Paap)?

The respect network is an initiative I clearly support and follow. I'll always try to bring my 2 cents in the approach and hope it will be successful.
The Respect Trust Framework is based on the following five principles:
- promise (respect each other's digital boundaries)
- permission (negotiate in good faith)
- protection (protect entrusted data)
- portability (support freedom of movement)
- proof (cooperate for good)

What some social operators are actually doing is against each and every of those.
This initiative is actually more accurate than ever.
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